Reynolds Company, which uses the high-low method to analyze cost behavior, has determined that machine hours best predict the company's total utilities cost. The company's cost and machine hour usage data for the first six months of the year follow (Click the icon to view the data). Read the requirements Requirement 1. What is the variable unites cost per machine hour? Let's begin by determining the formula that is used to calculate the variable cost (slope) Variable cost (slope) (Round the variable coat to the nearest cont) Using the high-low method, the variable unities cost per machine hour is Requirement 2. What is the fixed cost of utlines each month? Let's begin by determining the formula that is used to calculate the fixed cost component Fixed cost Using the high-low method, the fixed cost of unities each month is Requirement 3. If Reynolds Company uses 1,240 machine hours in a month, what will its total costs be? (Round the variable cost per unit to two decimal places and round your total costs calculation to the nearest whole dollar) The total costs when 1,240 machine hours are used is Requirements Using the high-low method, answer the following questions: 1. What is the variable utilities cost per machine hour? 2. What is the fixed cost of utilities each month? 3. If Reynolds Company uses 1,240 machine hours in a month, what will its total costs be? Data table Month Total Cost January...... $ 3,460 February.... $ 3,790 March ....... $ 3,711 April ....... $ 3,720 May.. $ 4,700 ** June $ 4,414 ..... Machine Hours 1,070 1,190 1,060 1,220 1,340 1,440 - X